Property market slowdown?

Discussion in 'Property Market Economics' started by New2prop, 2nd Aug, 2016.

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  1. RPI

    RPI SDA Provider, Town Planner, Former Property Lawyer

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    Our Brisbane Conveyancing numbers are still growing strongly. Sunshine Coast and Gold Coast are starting to move. Still seeing lots of action in Cairns and Toowoomba
     
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  2. timetoact

    timetoact Well-Known Member

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    Yep... That's how long we waited....But it was worth the wait!
    Have to constantly monitor the market

    The next cycle will be very interesting
    - I see ultra low rates being around for some time
    - If this is the case it means economic growth is also low for longer
    - Which in turn means wages growth may also be lower for longer
    - On the flip side search for yield and growth will continue globally
    - I expect another long flat part to the cycle this time around
     
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  3. Azazel

    Azazel Well-Known Member

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    In general, no.
    Perth isn't looking too crash hot.
    South Coast NSW is looking good.
     
  4. MTR

    MTR Well-Known Member

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    make hay while the sun shines as they say..... why do you think I keep banging on "timing the market", not time in the market.
     
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  5. Perthguy

    Perthguy Well-Known Member

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    I am a "market timer" too. ;)
     
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  6. bumskins

    bumskins Well-Known Member

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    Might be a $200K gap but Melbourne already has the worst yields. Rents just arent growing. Imagine what the yield will get to if it even makes up half that gap.

    The greater the gap between interest rates and yield makes it more beneficial to rent again. So with interest rates not having much further to fall, rents going nowhere and prices going up the benefit of buying vs renting drops and provides a roof on prices (albeit an eleastic one).

    Thats before even getting into how much low yielding properties (negative) begin to hurt an investors serviceability with each additional purchase.

    In other words its not just the median price gap, theres a massive divide in rents too.
     
  7. See Change

    See Change Well-Known Member

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    Manly prices are booming , seeing units in low 1-1.5 selling 150 - 300 K above expectations .

    Reason . Nothing on the market .

    At the moment the only units listed below 1.25 are five one bedroom units .

    Cliff
     
  8. Luka

    Luka Well-Known Member

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    Gold coast

    Close to beach and broadwater - going steady with occasional outstanding sale

    Outer areas closer to m1 - has noticeably slowed since 2015. The approach the agents take and type of flyers posted have changed also

    Overall - fewer selling, and fewer buying. Lots attending inspections but are just tyre kicking
     
    Last edited: 3rd Aug, 2016
  9. Azazel

    Azazel Well-Known Member

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    Are you talking about near Southport?
     
  10. Luka

    Luka Well-Known Member

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    Yep. Doing okay. Again most gains came from 2015 but it seems to be steady with the odd price jump
     
  11. MTR

    MTR Well-Known Member

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    Yes, there is a divide in rents, and as prices rise regardless whether its Syd or Melb servicing loans will be an issue.
    At the end of the day I am talking about being selective when buying in Melb, affordability and using common sense approach by researching surrounding areas and median prices, versus rents etc.

    MTR:)
     
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  12. Luka

    Luka Well-Known Member

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    Last edited: 4th Aug, 2016
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  13. Whitecat

    Whitecat Well-Known Member

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    Bne will be largely unnaffected due to the great yield. They will continue to be lots of interest from Sydney and Melbourne investors those who don't have serviceability to pay 700k for a house.
     
  14. MTR

    MTR Well-Known Member

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    Melb is still strong market

    Hint...hint.....it's Been Syd PC members spruiking Bne
     
  15. Whitecat

    Whitecat Well-Known Member

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    Not entirely.
     
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  16. ms420

    ms420 Well-Known Member

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    Should we have a poll?
     
  17. MTR

    MTR Well-Known Member

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    If you are interested in this......go for it...lol

    I started my first poll ever today after some 10 + years as a member SS/PC
     
  18. Whitecat

    Whitecat Well-Known Member

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    Bne is just so hot right now nationally. More total investors live in Sydney than Brisbane but nonetheless there is significant interest from local investors also as
    1. They know bne
    2. It's the best bang for your buck atm (yield) and still considering size and amenity
    3. Massive growth potential due to impending infrastructure.

    2 and 3 are what is creating confidence amongst this online community that bne is the place to invest.
     
  19. Gockie

    Gockie Life is good ☺️ Premium Member

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    I tend to think there's less substance to Brisbane than Melbourne... my belief is that Melbourne has a stronger and more resilient economy, but as to which will do better as a property investment over the next 5 years... I won't make a call on that at this stage.

    Brisbane comes off a more affordable base, though parts of Melbourne are still very affordable. I suppose the Melbourne boom of the past few years was less widespread than the Sydney boom.
     
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  20. MTR

    MTR Well-Known Member

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    but Gockie we are August 2016 and Melb is outperforming all States